How Much Home Equity Can I Borrow in 2026? (Calculator + Requirements)
Calculate how much home equity you can borrow in 2026. HELOC (85% CLTV), home equity loan (85% CLTV), cash-out refinance (80% LTV), Hometap (50% equity). Free calculator + requirements for each option.
⚡ Quick Answer: How Much Can You Borrow?
You can borrow up to 85% of your home equity depending on the loan type. Example: $500K home with $300K mortgage = $200K equity. Max borrow: HELOC 85% ($170K), Home Equity Loan 80% ($160K), Cash-Out Refi 80% ($160K), or Hometap Investment up to $600K (no monthly payments). Compare rates to find your best option.
📊 Quick Example ($500K home, $300K mortgage):
- • HELOC: ($500K × 85%) - $300K = $125K max
- • Home Equity Loan: ($500K × 85%) - $300K = $125K max
- • Cash-Out Refi: ($500K × 80%) - $300K = $100K max
- • Hometap: $200K equity × 50% = $100K max (no monthly payments!)
💰 See How Much You Can Borrow - Get Your Free Quote
Compare HELOC, home equity loan, cash-out refi, and Hometap. See your max amount in 2 minutes.
Free calculator • Soft credit check • No obligation
85%
Max CLTV (HELOC)
$600K
Max (Hometap)
2 min
Get Your Quote
Home Equity Borrowing Calculator 2026
Use this calculator to see how much home equity you can borrow with each option:
📊 Calculate Your Max Borrowing Amount
$500,000
(Example - enter your actual value)
$300,000
(Example - enter your actual balance)
Your Current Equity:
$200,000 (40%)
$500,000 home value - $300,000 mortgage = $200,000 equity
HELOC (85% CLTV)
$125,000
($500K × 85%) - $300K = $125K max
• Variable rate 8.5%-11.0% • Monthly payments • 10-year draw period
Home Equity Loan (85% CLTV)
$125,000
($500K × 85%) - $300K = $125K max
• Fixed rate 8.0%-10.0% • Monthly payments • 10-30 year term
Cash-Out Refinance (80% LTV)
$100,000
($500K × 80%) - $300K = $100K max
• Fixed rate 6.5%-7.5% • Monthly payments • 15-30 year term
Hometap (50% equity, max $600K)
$100,000
$200K equity × 50% = $100K max
• NO monthly payments • Share 15-35% appreciation • 10-year term
💡 Pro Tip: Hometap has NO monthly payments and accepts 500+ credit score (vs 680+ for HELOC). Best for retirees, bad credit, or anyone who wants to avoid monthly payments.
Maximum Home Equity Borrowing Limits by Loan Type
| Loan Type | Max CLTV/LTV | Max Amount (Example) | Requirements |
|---|---|---|---|
| HELOC | 85% CLTV | $125K ($500K home, $300K mortgage) | 680+ credit, DTI <43% |
| Home Equity Loan | 85% CLTV | $125K ($500K home, $300K mortgage) | 680+ credit, DTI <43% |
| Cash-Out Refinance | 80% LTV | $100K ($500K home, $300K mortgage) | 620+ credit, DTI <45% |
| Hometap (Equity Sharing) | 50% equity (max $600K) | $100K ($200K equity × 50%) | 500+ credit, NO DTI check |
| Reverse Mortgage (62+) | 50-60% equity | $100K-$120K (age-based) | 62+ age, NO income required |
Real Examples: How Much Can You Borrow?
Example 1: $400K Home, $200K Mortgage (50% Equity)
Your Situation:
- • Home value: $400K
- • Mortgage balance: $200K
- • Current equity: $200K (50%)
Max You Can Borrow:
- • HELOC: $140K (85% CLTV)
- • Home Equity Loan: $140K (85% CLTV)
- • Cash-Out Refi: $120K (80% LTV)
- • Hometap: $100K (50% equity, NO payments!)
Example 2: $750K Home, $400K Mortgage (47% Equity)
Your Situation:
- • Home value: $750K
- • Mortgage balance: $400K
- • Current equity: $350K (47%)
Max You Can Borrow:
- • HELOC: $237.5K (85% CLTV)
- • Home Equity Loan: $237.5K (85% CLTV)
- • Cash-Out Refi: $200K (80% LTV)
- • Hometap: $175K (50% equity, max $600K)
Example 3: $1.2M Home, $500K Mortgage (58% Equity)
Your Situation:
- • Home value: $1.2M
- • Mortgage balance: $500K
- • Current equity: $700K (58%)
Max You Can Borrow:
- • HELOC: $520K (85% CLTV)
- • Home Equity Loan: $520K (85% CLTV)
- • Cash-Out Refi: $460K (80% LTV)
- • Hometap: $350K (50% equity, capped at $600K max)
💰 Get Up to $600K - No Monthly Payments with Hometap
See your personalized offer in 2 minutes. No monthly payments for 10 years.
500+ credit OK • No DTI check • Free quote
Get My Hometap Offer →Requirements to Borrow Home Equity
✅ HELOC Requirements
- • Credit Score: 680+ (best rates 740+)
- • DTI Ratio: Max 43%
- • Max CLTV: 85%
- • Income Verification: Required
- • Appraisal: Required ($300-$600)
✅ Home Equity Loan Requirements
- • Credit Score: 680+ (best rates 740+)
- • DTI Ratio: Max 43%
- • Max CLTV: 85%
- • Income Verification: Required
- • Appraisal: Required ($300-$600)
✅ Cash-Out Refinance Requirements
- • Credit Score: 620+ (best rates 740+)
- • DTI Ratio: Max 45%
- • Max LTV: 80%
- • Income Verification: Required
- • Appraisal: Required ($400-$800)
✅ Hometap Requirements
- • Credit Score: 500+ (flexible!)
- • DTI Ratio: NOT required (no income check)
- • Max Equity: 50% (max $600K)
- • Income Verification: NOT required
- • Appraisal: Free (Hometap pays)
Frequently Asked Questions
How much home equity can I borrow?
You can borrow up to 85% CLTV with HELOC or home equity loan, 80% LTV with cash-out refinance, or 50% equity with Hometap (max $600K, NO monthly payments). Example: $500K home with $300K mortgage = $125K max (HELOC/home equity loan).
What is the maximum CLTV for a HELOC?
Most lenders allow 85% CLTV (Combined Loan-to-Value) for HELOCs. Some lenders go up to 90% CLTV with excellent credit (740+). Formula: (Home Value × 85%) - Current Mortgage = Max HELOC Amount.
Can I borrow 100% of my home equity?
No, lenders require you to keep 15-20% equity (cushion for market fluctuations). Max borrowing: 80-85% CLTV. Exception: Hometap allows up to 50% equity (no monthly payments).
How do I calculate how much home equity I can borrow?
Formula: (Home Value × Max CLTV) - Current Mortgage = Max Borrow Amount. Example: ($500K × 85%) - $300K = $125K max. Use our calculator above for instant results.
What is the difference between LTV and CLTV?
LTV (Loan-to-Value) = New loan ÷ Home value. CLTV (Combined LTV) = (1st mortgage + 2nd mortgage/HELOC) ÷ Home value. CLTV is used for HELOCs and home equity loans.
Can I borrow home equity with bad credit?
Most HELOCs require 680+ credit. If you have bad credit (<680), consider Hometap (accepts 500+ credit, NO monthly payments) or FHA cash-out refinance (580+ credit, 80% LTV).
🏆 Ready to Borrow Your Home Equity?
Compare HELOC, home equity loan, cash-out refi, and Hometap. Get personalized offers.
Free quote • Soft credit check • No obligation
Related Articles
Meet Sarah
Senior Mortgage Advisor & VA Loan Specialist
Sarah Mitchell brings over 12 years of mortgage industry expertise, specializing in VA loans and first-time homebuyer programs. As a certified NMLS professional, she has helped thousands of veterans and military families achieve homeownership through specialized loan programs. Her deep understanding of VA benefits and down payment assistance programs makes her a trusted advisor for service members transitioning to civilian life.
EXPERTISE:
KEY ACHIEVEMENT:
Helped 2,500+ veterans secure home loans